NorDan, UAB continues growth trajectory
At the end of the first four months of this year, NorDan, UAB assesses growth. Compared to the same period of 2020, the company’s order intake increased 29% and amounts to 4.7 million Eur. The results were affected by more than a 40% increase in demand for aluminium products in foreign markets, especially in Norway.
“With the onset of the pandemic and uncertainty in 2020, investment in commercial and residential real estate in our markets has slowed. However, the need has not disappeared and seems to have moved to 2021. We closed last year with sales in excess of 10 million Eur, thus growing by more than 20% compared to 2019. This year we are producing almost 30% more than in the same period of 2020. Successful vaccination in Europe is reducing uncertainty and increases consumer confidence. We feel that strongly,”– says Giedrius Žilėnas, Managing Director of NorDan, UAB.
Sales of uPVC windows and doors fell in Norway, but increased in the Baltic countries and Sweden. Although lagging behind the planned budget, order intakes of uPVC products grew by 10% compared to the same period last year and amounted to 1.3 million Eur.
A record-breaking April when 1.2 million Eur worth of windows and doors were made, allowed NorDan, UAB, to catch up with the planned sales and production volumes and to look positively to the future. Significant growth in demand for aluminium windows and doors is still forecasted, therefore the company will increase production capacity 15% in June.
“As the demand for our products grows in the Scandinavian and Baltic countries, we must consistently increase our production capacity. The number of employees has increased from 70 to 85 since the beginning of the year. June will be the third time that capacity is expected to increase by another 15%. Our plan is to create at least 10 new permanent production jobs. Whether further capacity increases are needed in September will be decided in July, as we see orders for third-quarter production. Production in the second half of the year is usually higher, so we are already actively looking for employees and invite you to join NorDan” – says G. Žilėnas.
Does not suspend investment projects and continues development
Despite the difficult situation due to the coronavirus, production capacity is increasing and NorDan, UAB, is attracting shareholder investments. Since April of this year, the company’s administration is located in the renovated premises, and there are plans to complete renovation of the production building in Mažeikiai in June. The 200 thousand Eur investment will increase the energy efficiency of the building, and solar collectors installed on the roofs will allow to produce up to 20% of annual energy consumption. To ensure long-term sustainable growth, the company is currently conducting a feasibility study on process digitization and automation, aimed at a long-term investment program in digital business transformation.
The company’s immediate plans include the construction of a new warehouse and the reconstruction of the factory’s interior and yard. Estimated value of investments is 450-500 thousand Eur.
The company will also seek to seize opportunities to grow in new markets, such as Denmark, the United Kingdom and Ireland. This year sees active work on the certification and preparation of product conformity documentation. Cooperation with other companies of the NorDan Group operating in these countries will ensure an optimal supply chain for customers. There is no doubt that new markets will contribute to sustainable growth in 2021-2024 period.
